The $50 billion (approximately Rs. 3,99,000 crore) CHIPS (Creating Helpful Incentives to Produce Semiconductors) Act, which US President Joe Biden signed into law last month, was made public on Tuesday by the US Department of Commerce. The bipartisan law aims to reduce the cost of chip production in the US as the government works to expand employment opportunities in the chip manufacturing industry and speed up chip research and development to help the US compete internationally.
The US Department of Commerce unveiled its implementation plan for the new CHIPS and Science Act on Tuesday. The federal government agency, which defined the main goals of the Act, stated that the CHIPS for America programme will be located within the Department's National Institute of Standards and Technology (NIST).
The department's implementation strategy states that the CHIPS for America initiative would primarily pursue four objectives. The first objective is the formation and growth of domestic leading-edge semiconductor production in the US, and the second objective is to maintain a steady and adequate supply of mature node semiconductors.
For the US chip industry's future, the Department of Commerce is also aiming to invest in research and development. And finally, it seeks to generate "hundreds of thousands" of construction employment in addition to "tens of thousands" of manufacturing jobs in the US. According to the approach, they include positions for women, people of colour, veterans, and residents of rural areas.
According to the US Department of Commerce, funding materials with particular application advice for the CHIPS for America initiative will be made available by early February 2023. As soon as applications are completed, rewards and loans will be given out in a rolling fashion.
